European session: The euro weakened
09:00 EU(17) PPI (June) 0.0%
09:00 EU(17) PPI (June) Y/Y 5.9%
The euro weakened against the dollar and depreciated to less than 1.10 Swiss francs for the first time as surging bond yields in Italy reawakened concern that the region’s debt crisis will worsen amid slowing global growth.
Italy’s 10-year yield jumped to the most since 1997.
The Australian dollar dropped after the nation’s central bank kept its main interest rate unchanged.
European producer-price inflation slowed to 5.9 percent from 6.2 percent in May, the European Union’s statistics office in Luxembourg said today. The result strengthened the case for the European Central Bank to keep interest rates unchanged this week.
Demand for the dollar was limited on concern an agreement between President Barack Obama and Congressional leaders on raising the debt ceiling and spending cuts will weigh on growth in the world’s biggest economy. The House approved legislation to raise the U.S. debt limit by at least $2.1 trillion and cut federal spending by $2.4 trillion or more. The measure goes to the Senate for a final vote planned today.
EUR/USD: the pair decreased in $1.4170 area.
GBP/USD: the pair decreased in $1.6270 area.
USD/JPY: in european session the pair holds at Y77.15-Y77.50.
personal income/spending are scheduled to release at 12:30 GMT.